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Nvidia’s $100B OpenAI deal sparks antitrust scrutiny over AI dominance

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Nvidia’s plan to invest up to $100 billion in OpenAI — while supplying the ChatGPT maker with millions of AI chips — is raising alarms among antitrust experts who warn the partnership could distort competition in a market already dominated by a handful of tech giants.

Nvidia controls more than half of the GPU market, the essential chips powering AI data centers. Experts caution that a financial tie to OpenAI could give Nvidia incentives to favor one customer over rivals through preferential pricing or faster delivery. “They’re financially interested in each other’s success. That creates an incentive for Nvidia to not sell chips to, or not sell chips on the same terms to, other competitors of OpenAI,” said Rebecca Haw Allensworth, a Vanderbilt Law School antitrust professor.

Andre Barlow, an antitrust lawyer, said the deal raises “significant antitrust concerns,” though the Trump administration’s pro-business stance complicates the outlook. President Donald Trump has emphasized both removing regulatory hurdles to accelerate AI growth and using antitrust enforcement to ensure long-term competition.

The scale of the deal highlights how expensive frontier AI has become. “The cost of chips, data centers and power has pushed the industry toward a handful of firms able to finance projects on that scale,” said Sarah Kreps, director of the Tech Policy Institute at Cornell University. Nvidia’s top two customers already account for nearly 40% of its revenue, underscoring its reliance on concentrated buyers.

Under President Biden, regulators had warned Big Tech could use scale to dominate AI. The DOJ and FTC pursued early inquiries into exclusionary conduct around AI resources. The Trump administration has kept many Big Tech cases alive, with DOJ antitrust head Gail Slater saying last week enforcement must focus on preventing bottlenecks: “The competitive dynamics of each layer of the AI stack and how they interrelate… are legitimate areas for antitrust inquiry.”

For now, Nvidia insists its investment won’t alter its sales practices: “We will continue to make every customer a top priority, with or without any equity stake,” a spokesperson said. OpenAI declined to comment.

Prosus Secures EU Antitrust Approval for Just Eat Takeaway Bid

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Dutch tech investor Prosus has received conditional approval from the European Union for its €4.1 billion ($4.76 billion) acquisition of Just Eat Takeaway, after agreeing to reduce its significant stake in rival Delivery Hero.

The European Commission confirmed that Naspers, Prosus’ majority owner, will lower its 27.4% holding in Delivery Hero to below a minimal threshold within 12 months. Naspers also committed not to exercise voting rights, increase its stake, or influence the management and supervisory boards of Delivery Hero.

Prosus announced the takeover plan in February, aiming to leverage its artificial intelligence expertise to strengthen Just Eat Takeaway, Europe’s largest meal delivery platform. With the EU clearance, this marks the final regulatory approval required for the deal, which is set to close by October 1, provided all offer conditions are met.

Prosus CEO Fabricio Bloisi described the acquisition as a step toward building a “true European tech champion” in the food delivery sector. EU antitrust chief Teresa Ribera emphasized that the ruling safeguards competition and consumer choice, warning that the Commission will continue to take a hard line against anti-competitive practices.

The approval comes months after Delivery Hero and its subsidiary Glovo were fined €329 million for cartel activities, including market division and non-poaching agreements. Once completed, the deal will make Prosus the fourth-largest global food delivery company, behind Meituan, DoorDash, and Uber, according to ING analysts.

Google Proposes Tweaks to Search Results to Avoid EU Fine Under Digital Markets Act

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Google has offered new concessions to the European Union in an effort to avoid potentially steep antitrust penalties, according to documents reviewed by Reuters. The tech giant’s latest proposal seeks to address concerns that it has been unfairly favoring its own services—like Google Shopping, Google Hotels, and Google Flights—over those of competitors, in violation of the EU’s Digital Markets Act (DMA).

The DMA, which came into force earlier this year, establishes strict requirements for dominant tech companies—or “gatekeepers”—to ensure fair competition and increased consumer choice. The European Commission formally charged Google three months ago, citing anti-competitive practices in vertical search results.

In response, Google has suggested offering a dedicated box at the top of its search results page to showcase a selected third-party vertical search service (VSS), such as platforms specializing in hotel or flight searches. This VSS would be chosen using objective, non-discriminatory criteria and would display three direct links—such as to hotels, airlines, or transport services—formatted identically to Google’s own listings.

Other competing VSS platforms would still be displayed lower in the rankings, but only in expanded view if users click to see more results. Google stated in the documents that while it does not agree with the Commission’s preliminary findings, it is willing to make changes “on a without prejudice basis” to reach a resolution.

The European Commission has called for a feedback meeting with rivals on July 8. Some competing companies told Reuters—on condition of anonymity—that the proposed changes fall short and do not ensure genuine parity with Google’s own offerings.

This is not Google’s first encounter with the EU on similar grounds. In 2017, the company was fined €2.4 billion for giving illegal advantage to its comparison shopping service. The current proceedings under the DMA could result in further significant penalties if the EU deems Google’s remedies insufficient.